TNAG-2792-FCO40-4031-Relations-between-Hong-Kong-and-China-1993 — Page 75

GF 323

for

CONFIDENTIAL #

19

the respective

products in

overseas

markets,

contributed to this predominance and rapid growth.

24.

value (21) Compared

Amongst the major sources of Hong Kong's retained

imports, China ranked the fifth in the first half of 1993,

accounting for 7.3% of the total

with the same period last year,

imports from China fell by 24%.

•

the value of retained

This contrasted sharply

with the increase of 6% in the value of Hong Kong's total

retained imports. Because of reduced popularity amongst

local consumers, Chinese goods in Hong Kong had been facing

declines in demand in recent years.

25.

Bringing the relevant imports and exports figures

together, in the first half of 1993 Hong Kong incurred a

visible trade deficit of HK$20.5 billion with China,

according to Hong Kong's trade statistics. This was

further reduced from the deficit of HK$37.7 billion in the

same period in 1992.

1992 Annual 1992 H1 1993 H1

(HK$Bn)

(HK$Bn)

(HK$BN)

Domestic exports to China

62.0

28.5

30.7

Re-exports to China

212.1

95.2

129.4

Total exports to China

274. 1

123.7

160.0

Imports from China

354.3

161.4

180.6

Total visible trade with China

628.4

285.1

340.6

Visible trade balance with China

-80.3

-37.7

-20.5

(21)

Japan was the largest source of Hong Kong's retained imports (accounting for 27.7% of the total in the first half of 1993), followed by the United States (11.4%), Taiwan (10.1%), and South Korea (8.1%).

CONFIDENTIAL #

Page 75Page 76